C. Amount of net income for August. 5. Determine the increase or decrease in retained earnings for August. PR 2-3B Journal entries and trial balance Obj. 1, 2, 3, 4 of Credit column: On October 1, 2018, Jay Pryor established an interior decorating business, Pioneer Desi $70,300 During the month, Jay completed the following transactions related to the business: Oct. 1. Jay transferred cash from a personal bank account to an account to be used for the business in exchange for common stock, $18,000. W EXCEL TEMPLATE 4. Paid rent for period of October 4 to end of month, $3,000. 10. Purchased a used truck for $23,750, paying $3,750 cash and giving a note payable for the remainder. 13. Purchased equipment on account, $10,500. 14. Purchased supplies for cash, $2,100. GENERAL LEDGER Chapter 2 Analyzing Transactions Oct. 15. Paid annual premiums on property and casualty insurance, 53,600. 15. Received cash for job completed, 58,950. Enier the following transactions on Page 2 of the two-column journal: 21. Paid creditor a portion of the amount owed for equipment purchased on October 13, $2,000. 24. Recorded jobs completed on account and sent invoices to customers, $14,150. 26. Received an invoice for truck expenses, to be paid in November, $700. 27. Pald utilities expense, $2,240. 27. Pald miscellaneous expenses, 51,100. 79. Received cash from customers on account, $7,600. 20. Pald wages of employees, 54,800. 31. Pald dividends, $3,500. Instructions 1. Journalize each transaction in a two-column journal beginning on Page 1, referring to the fol- lowing chart of accounts in selecting the accounts to be debited and credited. (Do not insert the account numbers in the journal at this time.) Journal entry explanations may be omitted. 11 Cash 31 Common Stock 12 Accounts Receivable 33 Dividends 13 Supplies 41 Fees Earned 14 Prepaid Insurance 51 Wages Expense 16 Equipment 53 Rent Expense 18 Truck 54 Utilities Expense 21 Notes Payable 55 Truck Expense 22 Accounts Payable 59 Miscellaneous Expense 2. Post the journal to a ledger of four-column accounts, inserting appropriate posting references as each item is posted. Extend the balances to the appropriate balance columns after each transaction is posted. 3. Prepare an unadjusted trial balance for Pioneer Designs as of October 31, 2018. 4. Determine the excess of revenues over expenses for October. 5. Can you think of any reason why the amount determined in (4) might not be the net income for October? C. Amount of net income for August. 5. Determine the increase or decrease in retained earnings for August. PR 2-3B Journal entries and trial balance Obj. 1, 2, 3, 4 of Credit column: On October 1, 2018, Jay Pryor established an interior decorating business, Pioneer Desi $70,300 During the month, Jay completed the following transactions related to the business: Oct. 1. Jay transferred cash from a personal bank account to an account to be used for the business in exchange for common stock, $18,000. W EXCEL TEMPLATE 4. Paid rent for period of October 4 to end of month, $3,000. 10. Purchased a used truck for $23,750, paying $3,750 cash and giving a note payable for the remainder. 13. Purchased equipment on account, $10,500. 14. Purchased supplies for cash, $2,100. GENERAL LEDGER Chapter 2 Analyzing Transactions Oct. 15. Paid annual premiums on property and casualty insurance, 53,600. 15. Received cash for job completed, 58,950. Enier the following transactions on Page 2 of the two-column journal: 21. Paid creditor a portion of the amount owed for equipment purchased on October 13, $2,000. 24. Recorded jobs completed on account and sent invoices to customers, $14,150. 26. Received an invoice for truck expenses, to be paid in November, $700. 27. Pald utilities expense, $2,240. 27. Pald miscellaneous expenses, 51,100. 79. Received cash from customers on account, $7,600. 20. Pald wages of employees, 54,800. 31. Pald dividends, $3,500. Instructions 1. Journalize each transaction in a two-column journal beginning on Page 1, referring to the fol- lowing chart of accounts in selecting the accounts to be debited and credited. (Do not insert the account numbers in the journal at this time.) Journal entry explanations may be omitted. 11 Cash 31 Common Stock 12 Accounts Receivable 33 Dividends 13 Supplies 41 Fees Earned 14 Prepaid Insurance 51 Wages Expense 16 Equipment 53 Rent Expense 18 Truck 54 Utilities Expense 21 Notes Payable 55 Truck Expense 22 Accounts Payable 59 Miscellaneous Expense 2. Post the journal to a ledger of four-column accounts, inserting appropriate posting references as each item is posted. Extend the balances to the appropriate balance columns after each transaction is posted. 3. Prepare an unadjusted trial balance for Pioneer Designs as of October 31, 2018. 4. Determine the excess of revenues over expenses for October. 5. Can you think of any reason why the amount determined in (4) might not be the net income for October